The JSE Securities Exchange was firmer at midday on Monday with local equities recovering from last week’s sell off. The gains came despite a firmer rand and weaker world markets.
By 12.08pm, the all share and all share industrial indices added 0,3% and 0,22% respectively. Resources rose 0,57%. The financial index inched up 0,09% and the banks index was 0,26% better. The gold mining index was flat, while the platinum mining index weakened 0,96%.
The rand was quoted at 5,96 per dollar from 6,03 when the JSE closed on Friday, while gold was quoted at $427,60 a troy ounce from $423,25/oz at the JSE’s last close.
“There is quite a bit of positive sentiment in the market. The bounce is definitely coming through,” a dealer said.
The JSE lost over 2% last week.
The dealer continued that the gold price was quite a bit firmer on the back of the weaker dollar. However, due to the stronger rand, gold stocks were not up as much locally as they were in the United States on Friday.
He said that continued demand was being seen for resources stocks and noted that both JP Morgan and Investec had upped their target prices for BHP Billiton and Rio Tinto on the outlook for iron ore and coal prices.
However, Investec had downgraded its rating on Anglo American to ‘sell’ from
‘hold’.
On the resources index, BHP Billiton shares were 1,41% or R1,01 better at R72,44 and Anglo American added R1,26 to R139,25.
Kumba slipped 1,33% or 75 cents to R55,50 after earlier trading at R57 — its strongest since March
AngloGold Ashanti advanced R1,79 to R199,50 and Harmony was 48 cents higher at R53,50. Gold Fields, however, fell 1,13% or 80 cents to R70,20 .
AngloPlat tumbled 2,05% or R4,39 to R210,11 and Impala eased R3,50 to R497,51. Telecoms stocks led industrials higher, with Telkom jumping 2,43% or R2,40 to R101. MTN group gained 25 cents to R41,75.
Retailer Edcon rallied 2,65% or R7,50 to R290,50 and JD Group leaped 3,51% or R2,20 to R64,80. Foschini surged 3,31% or R1,21 to R37,81.
Diversified industrial Imperial strengthened 1,32% or R1,30 to R100.
On the downside, London-listed brewer SABMiller shed 74 cents to R89,50 and Swiss-listed luxury goods group Richemont eased 10 cents to R18,
Farming group Afgri nosedived 17,37% or R1,24 to R5,90 after going ex-dividend of 112.2 cents per share.
On the financial front, Standard Bank was 40 cents stronger at R60,40 and Nedcor bounced 60 cents to R69,20.
Absa, however, dipped 30 cents to R72,20.
London-listed financial services group Old Mutual was seven cents softer at R14,30, but Sanlam climbed seven cents to R11,78. – I-Net Bridge